Short term health insurance plans do not have the essential health benefits that the Affordable Care Act requires. Short term health plans only provide coverage for routine doctor’s visits and major medical problems. The Affordable Care Act does not deny coverage for those who have pre-existing medical conditions, while Short term health plans may deny you coverage.
Always check the plans carefully, as despite offering fewer benefits, it is also possible that Short Term health insurance might cost more. Especially if you are eligible for health insurance subsidies under Obamacare. These short term plans are not eligible for any premium subsidies. Since these plans do not meet Obamacare requirements, you will have to pay a tax penalty. The maximum is the average bronze plan premium, but it can be either 2.5% of your income or $695 per person